European Union trade ministers are meeting for talks on how to respond to US legislation which they say distorts fair competition.
The US Inflation Reduction Act -- aimed at accelerating the green transition -- offers tax cuts to US electric vehicle producers. Brussels says that disadvantages European automakers like Volkswagen or Renault, and could tempt manufacturers to relocate production to the US.
Ministers are mulling measures including retaliatory subsidies and action at the World Trade Organisation.
Irish Deputy Prime Minister Leo Varadkar says something has to change.
In: On EU-US trade
Out: of free trade
Duration: 00:42